ST Tissue Plans $35 Million Expansion At Isle of Wight County, Virginia, Facility

Wednesday, Sep 28, 2016

ST Tissue, a manufacturer of high-quality tissue, towel and napkin products, will invest $35 million to expand its operation in Isle of Wight County, Virginia. The company will add a new tissue machine and hardwound towel line that will increase existing capacity by more than 45,000 tons annually.

“Virginia is one of the most forward-thinking states in terms of cultivating its business ecosystem,” said Vice President of ST Tissue Sahil Tak. “We witnessed it first-hand as we built our mill in Isle of Wight in 2013 – the location, the workforce, the incentives from the state and local communities – it all adds up to a big advantage for Virginia when vying to attract new business. The state, and especially the community in Isle of Wight and Franklin, welcomed this opportunity with open arms and ushered this project forward against some very tough odds. Together we have proven that we can create manufacturing jobs here in the country, given there is broad level support from the state, local communities and entrepreneurs willing to make it happen.”

As an incentive, Virginia Economic Development Partnership worked with Isle of Wight County and the City of Franklin to secure the project for Virginia. Governor McAuliffe approved a $167,500 grant from the Commonwealth’s Opportunity Fund to assist Isle of Wight and Franklin with the project. The company is eligible to receive state benefits from the Virginia Enterprise Zone Program, administered by the Virginia Department of Housing and Community Development. ST Tissue will also be eligible to receive sales and use tax exemptions on manufacturing equipment. Funding and services to support the company’s employee training activities will be provided through the Virginia Jobs Investment Program.

“In 2013, ST Tissue resurrected a former paper mill and converted it into a leading paper products manufacturing facility that continues to grow and thrive in Isle of Wight County,” said Governor Terry McAuliffe. “We are proud that this important corporate partner put citizens back to work and has made the decision to further invest in its operation and workforce. Growing the advanced manufacturing sector in the Commonwealth is a fundamental part of our efforts to diversify and build a new Virginia economy, and ST Tissue’s expansion is a great testament to our ongoing success.”

“ST Tissue is an important manufacturer and corporate partner on Virginia’s roster,” said Secretary of Commerce and Trade Todd Haymore. “The company has breathed new life into its retrofitted Isle of Wight facility, and is positively contributing to the resurgence of manufacturing in the Commonwealth, an industry that employs more than 240,000 and represents over $118 billion in direct annual economic output in Virginia.”